LATAM Airlines Argentina unit halts ops until Saturday on provider issue

SANTIAGO Fri May 17, 2013 6:21pm EDT

SANTIAGO May 17 (Reuters) - LATAM Airlines Group SA's said its Argentina unit is halting all of its flights in the country until 13:30 GMT on Saturday due to a state company unilaterally deciding to stop providing services to the airline.

Intercargo provides Latin America's biggest carrier with ramps at airports, loads suitcases and manages passenger buses to terminals, LATAM added in its statement late on Friday.

It was not immediately clear why Intercargo had stopped providing services to LATAM.

A LATAM representative was not immediately available.

LATAM is doing everything it can to resolve the issue, the Santiago-based company added.